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Re: Why traders prefer equities over futures?
good point, bear.
myself- i TRADE futures, but most of investments are stocks (and a smattering of commodities)
futures for me are for speculation. in my trading account. to generate income
stocks are ownership of good companies in order to build longterm wealth
i take profits from my trading account, and put them into longterm stuff - stocks, bonds, gold, etc.
i think many traders eschew futures because they don't understand them, don't want to understand them, and feel more comfortable with a known entity.
and also, as mentioned - one needs to differentiate between investors and traders. a relatively high %age of traders use futures.
a VERY small %age of investors do.
Last edited by dalby; 03-05-2007 at 02:27 PM.
Reason: typo
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